When the facts change, I change my mind. What do you do? -- John Maynard Keynes

Tuesday, May 7, 2013

Internet sales tax bill is unfair and a job killer

Congress is about to kill the economy. Only internet businesses would have to deal with thousands of taxing jurisdictions, instead of just the jurisdiction where they are physically located. This bill is not only unfair, it may be unconstitutional under the equal protection clause of the Constitution.

If this passes the House, Republicans can forget about taking the Senate, and better prepare for a Democratic House of Representatives.

Why I Oppose the Internet Tax Bill | RealClearPolitics: Senator Ted Cruz:  " . . . Consider this: Online and catalogue retailers with gross sales of $1 million -- a level that is mom & pop size in many places -- will be forced to collect sales taxes for the country’s 9,600 state and local tax jurisdictions. Just as Obamacare punishes small business with taxes and regulations for employing more than 50 people, this legislation would punish small businesses for making more than $1 million in sales. For many businesses it may be more beneficial to make less money than to keep track of all the different taxes. Small and medium-size businesses would be subjected to monthly or quarterly tax returns to all 46 states who collect sales tax; in addition, one amendment likely to be added to the bill would also include all 565 federally recognized Indian tribes in the definition of “state,” so businesses would need to collect applicable taxes for them, too. As if that wasn’t enough, each of the nearly 10,000 jurisdictions gets to have its own tax rates and sales tax holidays with thresholds and caps. Each state can give sellers their own “tax app” and it’s up to the seller to pay for integration into their in-house systems for ordering, fulfillment, and accounting. Keep in mind, each state still gets to have its own audit, forms, tax base, and definitions. That means every online seller could be subject to dozens -- or eventually hundreds -- of audits each year. So, how is this fair? After all, brick and mortar stores aren’t subjected to all these rules. Read more: http://www.realclearpolitics.com/articles/2013/05/05/why_i_oppose_the_internet_tax_bill_118255.html#ixzz2SZ3fg36q

Sen. Ted Cruz slams Internet sales tax bill - Washington Times: "Mr. Cruz . . . called the Internet a “thriving ecosystem” that has allowed new businesses to “compete in the national marketplace in ways that would have been impossible 15 years ago, and it empowers consumer choice.” “But tax-hungry politicians view the Internet as yet another source of revenue to bail out their big-spending governments,” Mr. Cruz wrote in an op-ed article for Real Clear Politics. “The misleadingly titled ‘Marketplace Fairness Act’ is a job-killing tax hike, plain and simple. It is, in effect, a national Internet sales tax, which would hammer the little guy and benefit giant corporations.”"


The Big Picture

Financial Crisis - The Telegraph

JohnTheCrowd.com | The Sailing Website

Craig Newmark - craigconnects